apple shipped 21 million ipads a drop of 20% and when i spoke to apple's ceo tim cook he said there couldme in his words can ballization taking place between the mac on one end and the phone on the other. also cook did point out the ipad sales number is better than it looks because apple didn't increase inventories this much as last year. more importantly over the long term cook making it clear to me he is an ipad bull and told me customer use of the product was in his words off the charts. and he talked about conference call with analysts about the partnership with ibm as apple works to push the ipad harder into the enterprise. >> i think the partnership with ibm and the work that we have going on in the enterprise is profound. i think we're really going to change the way people work. i'm excited about the apps that are coming out and how fast that -- the partnership is getting up and running. >> now by the way, cook hinted at a final reason for optimism saying that he knows what's in that ipad pipeline and in his words he feels very, very good about what's coming. carl, back to you. >>

or potentially getting short apple. i think the whole game of investing when trying to achieve success is hard enough. when you get something that is so noncomplicated, so easy, 74.5 million iphones, we talked about it for months, that's what we expected. you got the number. it's easy. leave it alone. >> bigger number than people in the most optimistic of view. 75 million iphones. >> that's where in terms of wanting success, remove the e motion, the strategy is working, stay with it. you probably have another quarter, a follow through in terms of the positive momentuom. don't make it complicated, don't trade it. >> i was going to go there. weiss, i loved what cramer said on the show and he said the same thing, don't trade it. just own it. >> yeah. i think there are very few stocks, actually more than a few, that you can just own and put away because you have confidence in them. you don't have balance sheet issues. a global brand. even take a look at other brands have had tough times periodically like a p&g or j&j made m

the interesting thing about apple tv is that apple keeps refusing to build the tv.rybody keeps predicting there will be an apple tv you put on your wall. and they don't build it. i believe that why they don't build the tv goes back to the power of the smartphone, which is, a smartphone upgrade cycle is two years. i think what apple figured out is the upgrade cycle for tv's is five years or 10 years. the tv, effectively, is fated. the tv will become a dumb peripheral for the smartphone. you will use chromecast, one of these things, and beam to the tv. the tv will be the dumb recipient of the content. i think they think that is a low margin business that other people can pursue. >> what is the future of elon musk? >> obviously he will build the iron man suit. [laughter] i think it is obvious. obviously, in the suit, he will fly to mars. [laughter] so he has some work to do between here and there. there is basic inventions he still has to master. there are three guys, three founders who are really revolutionizing. we are a lucky industry. we have all these people who a

does apple -- has apple p question -- has apple peaked? you can now see the brand-new bloomberg business. ♪ >> i can't tell you how thrilled i am to make the post -- first public phonecall with the iphone. >> ancient history. >> who would have guessed that apple would be boasting 75 million iphones sold in just one quarter. it is the gdp of yemen. it is the population of turkey. $18 billion. >> that is the dominance of it. it is extraordinary. >> it is driven very much by the iphone. 70% of the revenue comes from the iphone for apple. every other products group at apple is in record territory. you are looking at the yellow line. that is the dominance of iphone. is it a good thing that apple is so reliant on its products? >> they have been consistently proving every tech journalist wrong. we talked about how terrible the at&t network was and it has been fined. who needs an ipad? it turns out everybody does. >> brian weiser is with us. the world that is talked about is ecosystem. what is ecosystem? >> it is all interrelated participants. it

as for new products, apple watch, apple teased that early 2015 launch.ook telling me he's going to give more color about that product on the call that starts at 5:00 p.m. i'll be on it and give you head looirp headlines as they cross. what a reaction here. they managed to -- had mind melting expectations to me guys, and it appears they surpassed them. >> for some quick color, the iphone business for apple is now bigger than google and microsoft combined. >> incredible. >> it's huge. 74.5. >> max, what's your response? >> it's very interesting, very good. obviously the margin is the buried lead here. a little bit of waegeness in mac, a little bit of weakness in ipad although less than had been feared. the iphone 6 is the record breaking story. it sold much more than people thought. way move a quarter. that jacks up the margin and the average price per unit sold. i think the run away success of the iphone 6 plus and the huge hunger particularly in asia for the large screen is the runaway story of why this set of numbers is so strong. >> incredible. lou, wh

much more on apple.overall markets after yesterday's volatile session shaving 300 points off the dow. looking for a rebound. 71 points ahead of the fed. european stocks followed suit continuing to tumble in the wake of greek election results. continue volatility here let's talk about it with the ubs' chief global investment officer. mark looking worrisome there on earnings. apple's record quarter, enough to turn sentiment around on stocks and earnings? >> we think so. people were concerned about the durable goods coming off and maybe mid cycle slowdown. but we are seeing lower oil prices come through, apple is consumer related and i think that's going to pick up and take us through the year with stocks. >> apple wasn't immune to the strong dollar impact. shaved four percentage point off of revenue, weathered it better than most. the strong dollar's starting to cut into profits and revenues and should only continue. is that a reason for you to stay away from multinational, businesses that do business over

to apples? because wall street wants to measure growth and compare. >> great question. and one of the things i would say is certain companies monthly active users count. whatsapp for example. there is no metric that is consistent across all of these apps and services. a monthly active user could be someone that accidentally opens their app once a month and they are considered a user. maybe it's someone who spends x amount of time and the other thing for a company like twitter maybe the monthly active users aren't going to grow at the same pace. i look at it like cable television. it is not the number of television channels. it is the number of eyeballs that are watching and for how long and i think that should be a metric we apply so some companies and other companies maybe it should be active users. >> the measuring viewer ship of any kind. it continues on and on nick. thanks for your time. we'll talk to you soon. nick bilton of the "new york times" out west. kara swisher joins us live when we

apple gaining share. apple launching the products in china and there was a demand for larger screen sized phones. on the chinese front what was spectacular is that the china revenue contributions now are very comparable to that of all of europe. now this defies the investment community that said if you want to sell to china you have to sell cheap phones. i think it debunks that and people will be looking at china as not a low cost country but people that can spend money and finally the capital gains. the country talked about $130 billion returns of the 130 billion. could they authorize another 100? 130 billion? this is a market cap company so potentially they could return their market value to investors. overall i think it was spectacular. no complaints. i think we're in the stock and recommending investors to hold on to it. >> some saying this is a good growth and value play for shareholders. but let's talk about wall street's reaction. already goldman sachs increased their price target to $130. do you t

i am tom keene i use apple. she is olivia sterns, she uses apple.uses apple. >> though i have only a 5. [laughter] >> russia is under new pressure from world leaders after fighting flares up in ukraine. pro-russian rebels launched a rocket attack in ukraine over the weekend. the violence in ukraine picked up again earlier this month after relative quiet. greece's new government is questioning more sanctions on russia

remember apple had teased that a apple watch would be available 2015. tim cook saying it will ship in april. a wide range of opinions about how immediately successful that product will be. morgan stanley think apple will ship 30 million. others are more around 10 million. we'll bring you more headlines as they cross. >> thanks so much, josh. >>> that sort of impacts what the estimates could be for the second quarter. if the watch ships later in the quarter, then the n numbers cou be lower. >> its website today said watch early 2015. i don't think april is early. they were gearing for q1. and morgan stanley, if you go back and look at five years ago, when they introduced the ipad, people did not have high expectations. i think they ended up selling maybe 3.5 million units or right out of the gate. and thing at tthey did 3 bpt $5 billi 3.5 build in sales. >> you don't like watch. >> i don't think it will be a big impact. >> apple shares still holding on to the 5% gains. >>> still ahead, major moves after hours from a slew of companies reporting including

what is your view on apple? what is your view on tech? >> not just apple. lot of text do asked -- techs do extremely well. apple has done very well because of the iphone six sales which is a breakthrough product. sales are going to continue. at some point people are going to think where is the next product coming from. >> we have been talking about that. where is the next product coming from? the iphone keeps going ahead. >> the sensible investor is stuck with apple. people try to be clever. >> should a sensible investor beholding bonds with a negative yield? coming up will talk about greece as well. grease ways into the russian section debate as ministers prepare -- greece weighs into the russian sanctions debate as ministers prepare. ♪ >> a new government comes out swinging in greece. the prime minister unveiled a cabinet. they hold a meeting in a few minutes time. it is no surprise the tensions are already getting a little bit high. let's turn to marcus. he joins us from athens. it looks like the new government is already disagreeing, not on debt, but on

so at what point do you start looking for that and why isn't apple, or do you think maybe apple couldonding with maybe a patent lawsuit of some sort? >> well, at present, i think apple is doing just fine. there's another supplier, like qualcomm, called skyworks, that just put up a blowout quarter after the close here today, growing 56% year over year. and that's with samsung headwinds. so we think for apple, it's really still a good news story, this holiday season. there's room for both xiaomi and apple to win in the short run. there's no evidence here to date that xiaomi is copying apple innovations. it can be a rising tide for both of them for now. but down the road, you have to be careful that we don't see margin erosion, that we don't run out of unit volume headwind growth, and that apple is still doing enough with enough attention to perfection, that it continues to grow at a reasonable wait. >> all right. alex, we'll leave it there. thanks so much for your time. appreciate it. >> thank you. >> alex guana. alex mentioned sky works, and it hit a new 52-week high in toion. that's a

apple delayed. apple has come back. samsung benefits from being a part of the android platform. there are tons of apps built for android in china and samsung benefits from that. the advantage is going away. by year end apple has come ahead. >> neill, great on these companies to sell sort of the same number of units. but when you look at profits it is not even close. apple reaping so many profits from the sector. >> samsung is really led on volume whereas is apple's lead on value. now we are seeing apple to start closing the gap on samsung in volume as well. it is an impressive performance. apple can thank the mobile operators for their ability to deliver those high revenues and high profits. operators like china mobile and in japan, at&t in the u.s., they subsidize a market very heavily and it gets preferential treatment on store shelves. that is a lot of the underlying factor that drives apple's success. >> i see stats that try to guess at that and say that apple might have 30% market share across all smartphones. but they have 80% of the profits from the industry if not more.

fantastic apple crisp. you like apple crisp isn't i love apple crisp. >> so do i.ou'll want to make this ♪ >>> that is funny music man. >> i love it. >> welcome back great piece of fish all cooked up but missing a little flavor. >> chef brian harmon he's got a recipe for a great sauce that will make that fish even better. >> today i'm going to make for jalapeno blank sauce buttery white winery duck pairs well with white fish scene food. we're featuring it oh and a grilled sword fish. i'll start with 1 ounce of butter. into a hot sauce pan. while the butter is melting have your ingredients ready to add right away. we don't use oil. we use butter and we don't want it to brown. we add our quarter cup of chopped red onions. 2 tablespoons of minced garlic. half tea spoon of black pepper. cook this until the onions are translucent. you don't want them to brown. keep your flame on low. keep your heat on low. butter might begin to burn and separate we add our 1 ounce of fresh squeezeed lime juice. turn the heat up a little bit here. you don't want your ingredients to burn

even apple has got to that conclusion.n that you've seen people talk about it as a good buy is, it's almost got over a 2% dividend yield and it's growing and it's innovating but it's paying back its shareholders. that's the mantra i'm pounding the table on. that's how you provide stability, that's how you provide overall long-term performance and you have less volatility. who wants a 20% loss in google in six months? i don't want that. i don't want to own that stock. they have to show me respect and send cash back and do it now. >> depending on when you got in that stock you could have seen a 20% momentum move in the other direction and ridden it to the upside. we were having this debate earlier with roger mcnamee of elevation partners and he said, the fact that amazon signing woody allen to develop a new tv series, well done for them. they need some buzz and cache because that stock was getting expensive. buzz cache for momentum names does seem to be important, no? >> i love roger. we both collect guitars. a lot of respec

more apple, apple pay is succeeding at its top goal, namely, getting people to use it. retailers see big demand for the service with one commenting saying, quote, our customers are saying it's safer. >> apple pay is great. i just used it last night at whole food doing my storm preparation. it was manic in there. on the china issue, this is greater china. not exactly a surprise if you're following the trajectory of iphone sales. very key because samsung was looking at china as a very important market and it's getting hit at the top end by apple. and at the low end. so apple strength there does matter, but it makes it particularly important because they're opening up these retail stores before chinese new year. >> tim cook said in 2013 that the tipping point would at some point come, that china revenues would ellipse revenues here in the u.s. what do you think made it happen so soon? do you think it was the larger phone or samsung weakness? >> it was the larger phone. that's part of the reason for samsung's weakness. if i were just the low end and samsung still had the to

bought apple and still hanging on. the big concern for me though is it is going to be a colossal quarter or two from the iphone 6 where they have the secret price increase that is going to drop the bottom line. but what comes after? the watch, apple pay, everything else, the apps. those are all tiny in comparison to the profit boom. i'm worried as we get out later in the year what is going to drive profitability beyond that. >> i almost imagine the downgrade you might have given them back in the day based on these set of circumstances because that's what a lot of them have been based on. great products might do really well -- >> but here is the thing. compared to back in the day. we're talking about a stock trading at 17 times earnings. earnings not revenue. this is why i hung on through this. i thought maybe a couple months ago was the time. still only 17 times earnings. ultimately it trades lower probably. but still not incredibly expensive stock. >> apple is o too folks focused on a foot in front of it rather than a

apple striking ground breaking deal with ibm. i'm looking at outlook for apple right now.hey're saying for fiscal 2015 in the second quarter, they will forecast revenue between 52 and $55 billion. operating expenses between 5 1/2, 5.4 and 5 1/2 billion dollars. going through the numbers you see a pretty strong year ahead, quarter ahead, for apple but on the device front, it will be a good long while before we see another major groundbreaking device from apple. they have the watch. coming out reportedly in march. battery life not looking too bad. we'll see how that wearable device goes. apple has tons of fascinating patents they're looking at, they're probably developing under wraps right now. we probably will see another wearable if apple watch succeed. david: as exciting as some of these numbers are, as the potential of iwatch is, ivan, you don't put much stock in the iphone. you're bullish on apple but not necessarily on the iwatch. why not? >> i don't think the iwatch will be a big seller. it will be a good niche product, an extension of the apple ecosystem but i don't

is apple a one trick poen where i? that seems a little harsh on a day that the company made what it made or a day after. u.s. steel soaring right now on the back of its earnings. another big steel company getting ready to report. strong dollar plunging oil, swrobz cuts. the sector suffering headwinds, but is the worst over. and 401k 529, emerging market. where should small investors put their money to work right now? we asked 20 of the very top financial advisored in the united states, and you have to hear what they say. first, though to sue who is across the room at head waters today. >> hi ty. very volatile day on the street. the dow rising as much as 94 points. then wiping out the gains. it's a little bit higher right now on the trading session, as can you can see. the dow is up 49 points on the day. the s&p is higher as well and the nasdaq composite in the green too. we're keeping an eye on the ten-year note, of course because we do have the fed decision a little bit later today. we have a who-year note auction goi

. >> the iphone business for apple is now bigger than google and microsoft combined. >> apple wants it all. >> will big blue dominate the entire computer industry? >> they beat expectations by over 10% to 13%. >> this is a mesmerizing quarter. >> those who felt that this is only an iphone story and that maybe one day it'll be a worldwide story -- >> we shall prevail. >> it is the next chapter in apple's story. >> good to have you with us tonight, folks. thanks for watching. been a lot of talk about weather and storms. you know what the big storm is in technology? this thing right here. if someone had told me 15 years ago that this was going to be at my fingertips i wonder what my reaction would have been. it really is amazing, isn't it? we take it for granted. we start tonight with the booming economy, the american economy. i guess you could say it's all about apple. today apple announced its first quarter financial results and the numbers are simply stunning. apple sold a shocking 74.5 million iphones, setting a record for unit sells. tim cook says on average they sold 34,000 iphones

janet yellen or tim cook at apple. mark zuckerberg of facebook or boeing which came out with decent numbers this morning? the federal reserve just released its statement. the buzzword everyone was watching for was patience, which just describes the fed's state of mind in determining when to raise interest rates. the word remained, however, the fed suggested economic activity was now solid, which seemed to cause a market sell-off after a big jump, initial jump, after investors feared an investment hike would come in june of this year. ceo tim cook caught off guard calling the iphone six sale, quote, staggering. can his might us touch rub off on mike zuckerberg? investors will want to see how mobile app sales are adding up. what about instagram? are they monetizing on that. how much is zuckerberg spending? boeing, forecasting a big jump in cash flow from $4.3 billion to 6.2 billion, sending shares of this dow component sharply higher. what are investors watching in the most closely? what can we expect from facebook after

they're now doubting the apple watch. and apple ipay. there's a reason why i always tell you not to trade apple, just to own it. and the reason is that too many people have left a huge amount of money on the table because they were worried about the exact same issues i just laid out at the top of this segment when the stock was at 20 when it was at 30 40 50 60 70 80 90. i mentioned each level because that's the honest truth. these inquiries convinced many people to sell the stock, dump it, trade it, just when you should have been owning it. these doubting thomases were too smart for their own good. what's the proper way to examine this company's prowess when it comes to the new products. i think you approach it like this. if apple has an innovation like the watch and apple pay, and people love the product and it'll be a success. i got an idea maybe give them the benefit of the doubt. if this management says there's tremendous pent-up demand from the newphone -- if this management says people will watch the apple watch, believe them. if t

it took apple three years. >> and they made fun of it saying your hand is only so big. >> apple delayed, partly because of you jobs. samsung has benefited from being part of the android platform which is a very popular platform in china. >> tell us what that is. >> it is the os platform the google popularized. >> android. sorry, sorry. >> but that advantage is going away. in the end, apple has now come out ahead. >> great of these companies to sell the same number of units, but when you look at profits, it is not even close. apple regrouping so much profit from this sector that the comparisons aren't even close. >> what we have tended to see in the last couple of years is that samsung has led on the volume while apple has led on value. but now we are starting to close the gap on samsung on volume as well. it is an impressive performance. apple can really thank the mobile operators for the ability to deliver high revenues and high profits. operators like china mobile at&t companies in japan have saturated the market very heavily with the iphone and gets preferential treatment on store sh

what's next for apple? >> we're not kidding, that just happen ed happened. >> apple is selling iphones as fast as the company can make them. he isn't kidding. apple shipped over 74 million iphones in its december quarter, way more than analysts had predicted. that's a hard number to actually comprehend. cook described the results this way. apple sold over 34,000 iphones every hour, every day of the quar by country. unit sales were very strong in the u.s. up 44%. but the real standout in the quarter was mainland china. there unit sales surged 100% as a man for the new iphone 6 and 6 plus boomed. analysts at piperafterry say mainland china accounted for 21% of apple's revenue in the quarter. of course there are challenges for apple in china, including local rivals who are competing fiercely for customers. but on a conference call with analysts cook didn't sound concerned. >> the local competition was there this quarter and has been there for many many quarters before about the local competition isn't new, i t

how many apple products do you have in your home?few, two ipads five iphones that's seven. >> reporter: why do you love apple? >> it's so streamlined examine and simple. >> if my 65-year-old father as well as 11-year-old brother and sister it's a good product. >> reporter: apple ceo tim cook describes the demands for the new iphone as staggering, 35,000 sold per hour during the last quarter of 2014, nearly 75 million altogether. driving corporate profits to a whopping $18 billion. apple products remain incredibly popular in the united states. with every new product launched customers lineup outside the flagship store here in new york. but its it's growth in china that's behind the record-setting profits. last year apple went from sixth place to the number one seller of smart phones in china. sales grew 70% and now almost on par with europe. >> apple was helped by the fact that they sealed a collaboration with china mobile. the biggest mobile service provider in china. and they just started working together so actually we expect apple

not that apple was granted a patent. it's that apple acquired a trove of patents from kodak. if you see a picture on this thing, i tweetsds it out, looks like something out of the 1980s. like this kodak thing, if that's what they're afraid of, the poll lor road guy we had with the polaroid thing, that's scarier than the vintage kodak device. >> i will say that apple is not going to come out with an action camera and the reason why is, whenever i talk to apple about categories that they go into, they like to go into categories wheres there's a lot of mass market appeal and no good companies and good products. gopro has a good product and the action camera market eating everybody else's lunch. it wouldn't be an apple-like move to go into this now. at the same time i think you can't confuse causes with cat lists. yes, it might not be a good cause for the stock it go down on something like this, but is it a catalyst. think the stock was up at 90 a few months ago. it started off down near 30. so now, it's been near 60. is that the right level? i don't know. make your argument. may

this apple watch., it is going to lead a lot of the discussion that is happening in las vegas this week. what about the size of this market? >> we are thinking about a smartwatch market, not the broader watch market, so that will be initially a smaller market, and what we have been doing is we have been serving a lot of people, about 10,000 people in the u.s., and some of them knew before earlier in the year and did not know what the watch looked like, and the ones later on did know, but the interest level is low surprisingly low. about 10% of iphone buyers say they are going to buy the watch. it is clearly the big topic, but it is going to take maybe some more powerful apps to drive the value for consumers to understand why they need the watch versus just use their phone. greg specifically, and you do as much work as anyone i know, and i feel like trying to figure out what trend to tie it to me sit bit, and some people wear their heart rate monitors, and do you take that and multiply it? what sort of

apple will do that. and there are more than making up for the weakness in ipass with the iphone. >> it is certainly not worrying the investors right now there tom, great to see you. the managing editor for technology here at bloomberg. back on the fed and the economy the keyword surrounding the fed decision this afternoon will be patients. economists do not expect any major shifts in monetary policy but the global event may be altering expectations for the interest rate left off in june. peter cook covering today's decision. with me is carl. peter, i want to start with you. according to economists we survey over 40% still see liftoff in june. you are starting to send a shift away from that, right? >> the survey goes on and shows 30% think it will happen in september. there is at least a campout sensing that given what is happening in the world, the rise of the dollar, you have got concerns of lower inflation out there still. it will be even more patient. i spoke to the former vice chair of the fed this w

want the apple watch. to get the iphone 6. >> i want the apple watch because i like wearables, things that intimate with me. i like to flick and do things and use apple pay just by flicking my wrist. i think that the whole history of computing over the past 70 years is make it more intimate more personal more fashionable, make it more beautiful, and where do you get there? you get apple. when you start talking about that. making the flag stone floors, you know, out of the siena marble from florence everything about it is beautiful. we're entering an age coming out of the recession and all where you're going to want really beautifully made things and, of course, i'll want that watch. >> so do you. >> and then dr. j, are you buying and investing in apple here? >> i am not for the reasons that jon mentioned. not because i don't think that apple's a tremendous company. i do. if i have to buy one of these tech companies right here apple would be on my short list. the reason that i'm a little -- have a little tr

china is becoming increasingly important for apple.e are a year into the partnership with china mobile. apple moved a new store drying huge crowds and prompting a tweet from co to tim cook. -- ceo tim cook. i spoke with an analyst at creative strategies and bob o'donnell. >> a couple of things about apple with the iphone in china. the chinese market has been very focused on large phones. it was the iphone 6 and 6 plus that triggered this interest. the chinese market is not interested in smaller phones. until apple had an offering, that was one of the issues. in a lot of the emerging upper middle and upper class, they are incredibly brand conscious and apple is a luxury brand. you get the combination of this brand affinity and a phone in the size they are looking for, it makes sense that they are a huge hit. it shows you how the company is moving and adjusting their business worldwide area and >> there were thoughts of this being launched with china in mind. i like the exercise. the notion of the chinese characters acquire that in the p

buy the apples now and that is going to cost apple growers 659 million this year.nd apple grower the situation is dire. in a typical year 40% of the apples he grows are shipped to russia and without russia jeopardy. >> they are suffering because now our market is panic. >> reporter: that panic is a symbol of bigger fear spreading across a european continent whose economic health was already turning rotton and they dealt europe another blow, no where is the fear greater than germany whose economy europe's biggest is faltering badly, as a result of the crisis in ukraine german exports to russia fell 26% in august compared to a year earlier. and many analysts forecast an out right recession in europe as it grabbels with the fall out from ukraine. on the other side of the equation they are taking a toll on the already stagnating economy and lower oil prices put the country and brink of recession, the rubel plunged to lows and the bank of russia said investors would yank $128 billion out of the economy in 2014, more than double the amount they took out the year before.

plus apple pay.offered some early insight into the performance of apple pay which is apple's mobile payment platform that works on the phone and presumably the watch. that accounts for 2 out of every 3 of these contact list transactions that happens over the last three months. that's pretty significant momentum. >> greg maffei here apple tv what can you tell us that we don't know already about this? >> nothing. >> what do you know? nothing about it or you can't tell us anything about it? >> for the former. you know they're very good at keeping their plans quiet. and this one has been quiet for a long time. >> is apple friend or foe are in your mind? >> the music industry thought they were friend until they weren't. >> we have a lot of music guests so we watch that closely, too. on the tv side they're obviously trying to wedge themselves in and trying to find a place between the cable companies and the consumer. and there are relationships where they can drive demand. they can help turn or do things t

>> apple. >> apple. we have been banging the apple drum. quarterly profits, it quite sums things. are incredible. there is a bloomberg view article that says "apple's domination shows no sign of stopping." this is this kind of growth will flatten one day. just like the ipod will become obsolete. that is her view. she says it is so important when it comes to tech innovation and taking into consideration apple pays a great example of how have has helped stir a trend far better. the results are better. no apple watch into the mix. she says the smart watch could get into the cycle of hardware and software and consumers trying new stuff in the company making new stuff. she does not think they make the best software, that it is creating extraordinarily -- she finishes by saying the popularity is helping drive more innovation and interest in technology than most of the shots we hear about every day. early -- purely on interest level. >> indeed. "countdown" continues in the next hour. it is a ceo interview. join us for that conversation after the break. ♪ >> apple shines. blooming iphone

apple is promising to deliver its apple watch early this year.set the tone for the consumer electronics show that starts today. the new device will start at $350 with a high-end version higher than that. can apple panel a home run with this as it did with the iphone and ipad? gene munster joins me now. this will lead a lot of the discussion that is happening in las vegas this week. how do you start to size this market? >> we are thinking about the smart watch market but not a broader market. it will be a smaller initial market. we have been serving a lot of people. last year, we served about 10,000 people in the u.s. and asked their interest level on apple watch. some of them knew earlier in the year but did not know what it looked like and some later new. the interest level is very luke -- low, surprisingly low, about 10% of apple iphone users say they will buy the watch. it's clearly the big topic but it will take more powerful apps to drive the value for consumers to understand why they need the watch versus using just their phone. >> i feel l

there's nobody to buy those apples now and that's going to cost polish panel apple growers 659 million this year. for apple grower mikhail lehovich the situation is dire. 40% of the apples he grows are shipped to russia. his life is in jeopardy. >> now our market is panic. >> and that panic is a symbol of much greater fear over the continent. the conflict over ukraine and sanctions that followed have dealt europe another blow. nowhere is the fear greater than germany whose economy europe's biggest is fall terg fatalitiering is faltering badly. grappling with the fallout from ukraine. on the other side of the situation, lower oil prices put the country on the brink of rescission. the renewable ruble plunged to record lows, more than double the amount they took out the year before. and since sanctions hit, food prices in russia have soared. in some cases by as much as 30%. that's prompted some russians to stock up on groceries in places like poild where prices like poland where price he are cheaper. but putin's hold doesn't seem to be threatened. >> consolidate support for president puti

middle-class consumers see apple as the badge of success. >> it is an era of apple.le has conquered the world. >> i want to play games. all mobile phones are similar. the iphone functions for playing games. reporter: customers are almost religious in their fervor for religious products -- for the products. there are concerns. many say that apple should pay more taxes around the world. competitors are snapping at the heels. >> the financial committee will question things, like why they are not paying more taxes and not putting more to work in dividends or anything of that nature. reporter: next, a watch that will be launched in april. katty: for more on the i-p opping profits, let's go to dan. 75,000 iphones sold. >> a lot of phones. they got a lot of boost this time around because the generation was different than the last couple of generations. they picked up people who have been waiting around for key features. iphone had fallen behind. other phones have bigger screens. a lot of people have been waiting to get the iphone that has bigger screens. katty: are you sugg

apple is a luxury brand. you get the combination of this brand affinity as well as a phone in the size they are looking for, it makes perfect sense that the six and six plus are huge hit in china. it didn't surprise me. you showed you how the company is a moving and adjusting to business worldwide. >> there were thoughts that the six plus was launched specifically with china in mind i like the exercise. but the notion that the chinese characters require that come out of the phone is particularly attractive there -- has it played out where that has been the principal focus for the phone? or is it sold well worldwide. ? >> look around. you and i both use the six a lot of other people use the six plus. i thinks the six plus is done surprisingly well. there were questions early on if they made enough six pluses where did they make enough sixes. we may not ever find out exactly. my gut says the six pluses done very well and lots of places, particularly in china. >> there was speculation that the iphone wouldn't do

the company of bakersfield says it's now recalling all of its granny smith and gala apples sold underthe brandnames big bee and granny's best. the outbreak disease affected 32 people in eleven states and linked to at least three deaths. >>> a new project straight from the mind of steve jobs. the person who is sharing a sneak peek of the top-secret apple campus 2. >>> plus hope fades at finding the cause of the crash of airasia flight 581. crucial evidence missing from the plane's tail section after crews pulled from the java sea. >>> another big-name in the california democratic party says he is interested in filling senator boxer's seat when she leaves office in two years:10:00 news continues in 90 seconds ♪ food is more than just a meal. ♪ food is love. at monsanto, we believe everyone deserves a healthy, balanced meal. and a future that sustains us all. it's time for a bigger discussion about food. be part of the conversation at discover.monsanto.com . >>> boston officials celebrating after the city was selected as the u.s. bid for the 2024 summer olympic games. and they say no pub

we have the apple watch hanging up in the distance. apple brings credibility to a lot of markets.hen apple enters the market with their watch, that will give credibility to the category and in general get more people looking at it, considering it. >> the idea generation, it will be an interesting show this year. are you going? >> i am going. >> bob o'donnell, paul kedrosky always appreciate your time. where aereo left off -- dish's new streaming service. we are online on apple tv and amazon fire tv. ♪ >> this is "bloomberg west." i'm cory johnson. dish network plans to unveil the first streaming service from a cable or satellite company. hbo is also announcing off during an over-the-top service later this year. joining me, paul sweeney in new york. it would appear that the dam has finally broken. the major programmer is saying screw the cable companies. we are going directly to consumers and giving them what we want. >> yet, and they have thrown down the gauntlet here. this is a key issue for the whole media ecosystem. the big thing about these distributing cable companies satelli

apple makes their own. qualcomm arguing on the call that volume in the u.s., because the upgrade cycle sell increasing, will help them. and lower priced devices in emerging markets is causing elasticity of demand effect and think those customers will trade up. they told me apple's gains hurt a bit more than the loss of the one samsung design. their relationship overall with samsung continues to be good. they think the low price phone will bottom out eventually and don't see an overall shift in the marketplace where they are losing share. they think they continue to have a good position. in the second half they will introduce a new high end chip, the follow up to the snapdragon 810. they expect that to be a game-changer. that is the story they are telling us today. >> what do you mean by apple's gains were more than samsung's loss? >> they don't expect to be in a one phone from samsung. that hurts because it is a high-end phone. when apple gains share overall they are not just displacing samsung, other andro

. >>> up here first, apple stark away nearly $200 billion in cash.nds impressive but some shear say that cash actually reveals a core problem with our entire economy. how much money do you have in your pocket right now? i have $40 $21. could something that small make an impact on something as big as your retirement? i don't think so. well if you start putting that towards your retirement every week and let it grow over time, for twenty to thirty years that retirement challenge might not seem so big after all. ♪ ♪ you're here to buy a car. what would help is simply being able to recognize a fair price. truecar has pricing data on every make and model so all you have to do is search for the car you want there it is. now you're an expert in less than a minute. this is truecar. >>> sitting on an upgrade to give 556 bucks to every american why are some here saying that's not a good thing? >>> wow. talk about a blow out. apple reporting record profits and it's significant on record amounts of cash. $178 billion to be exact. it sounds like great news but, e

what does apple sell at for next year? 14. why does apple go higher?average company? >> by contrast what will shake shack's multiple be at 40 a share. >> infinite. >> approaching $700 billion market value is apple. >> apple is -- you know money managers are stymied because they know the law of large number but was also know that it's an inexpensive stock. you've got the watch. listen to visa gigantic. it's the future. what a year apple's going to have, it's the year of i pad. google said it's the year of youtube. amazon says it's the year of profit ability. everybody's got the year up. what's the year for you. >> trying to figure that out. >> a jim memo. >> "stop trading" with jim in a moment. dow's down 42. but visa adding 100 points to the dow by itself. we'll be back in a moment. [woman] can it make a dentist appointment when my teeth are ready? [girl] can it tell the doctor how long i have to wear this thing? [man] can it tell the flight attendant to please not wake me this time? the answer is yes, it can. so, the question your customers are really

the volumes are substantial from just apple alone. think a year ago it was 70%-plus of their business. i think what they have to do is find some new areas of growth. you mentioned earlier the internet of growth. their booth is about 50 yards behind me, and the internet of things connected appliances is a huge trend for them. in addition to foundary and the internet of things, i think samsung is looking for new areas of growth. they think it's the internet of things, but it would be nice if the foundary business could grow for them as well. >> what do you think a chip costs? an iphone a-6 or a-7 chip, whatever the new one is. what do they get for the internet of things chip? $85 for an iphone and then a couple of dollars? >> you know what? i think about it more like $25 to $30 for a base band chip and probably $5 for an internet of things chip. you bring up a good point. a discrepancy in the average selling price. the difference is if we see connected device throughout homes over the next two years, the number actually will be bigger t